Changes in Value Creation

1970
Developed a technology toharden wood veneers byinjecting resin into the grains of
the wood called WPC

Housingequipment
Cladding

1946

Tatami matsSpecial plywood

1973

1982

Door

Acoustic products

Promoted making
doors fancy
and created theindustry standardof modern design

Improved theconsistent service
structure forsoundproofing forhousesBuilding material
business

Tatami facing

Launched the first housing equipment
Cabinet set and developed from asingle product to an integrated productStarted manufacturing
Tatami facing thatused machine-madeJapanese paper andthat was excellent inmaintenance

Acoustic products

Plywoodhapia

Launched the hapia
series that pursue
texture2007 Discontinued manufacturing of plywood
2002 Withdrew from Bath and Kitchen business

Tatami facing
Woody fibers
MDF

Industrial materials
business

2021

Started manufacturing MDF
that utilized residual wood
offcuts as the main material

Capabilities to develop
unique industrial materials

GLOW EARTH
Wood culture medium
GLOW EARTH

1958
Insulation boardDAILITE

1997

Interior projects

DAILITE
Started manufacturing
DAILITE, an inorganic
material using an
unused resource
Shirasu (volcanic ash)and slag wool

Started manufacturing
DAILOTONE, noncombustible ceilingmaterials using slag wool,
which is a byproduct ofsteel production

2018

Launched the
GRAVIO series,
decorative wallmaterials thatwere DAILITE
base materials

A non-combustible wallmaterial with a deep carved
design that produces ahigh-quality space andoffers excellent workability

Capabilities to perform installation
work by making use of thefunctions of building materials

GRAVIO EDGEGRAVIOTo realize thelong-term
vision GP25

2,233

Goal of GP25
3rd Stage
200 200

2,0002,000

Housing
startsstarts
Housing(10,000houses)(10,000houses)

Operatingprofit profit
Operating(¥100(¥100million)
million)173150 150

1,5001,500

Foundation Supporting Value Creation

DAILOTONE

Engineering business

2016

Strategy for Value Creation

1996

DAILOTONENet sales(¥100(¥100million)
Net salesmillion)
2,5002,500

Veneer/LVL

2004 Transferred the exterior material business

MDF

1964

Capability to develop
building materials withhigh added value andcapability to propose total
plans for interior spaces

2013

Insulation board

Started manufacturing
Insulation boards, woodfiberboards utilizing
lumber sewing waste, andconstruction demolition timber

Daiken’s Features
and Strengths

1996

Integrated storage furniture1945 Foundation

Three-dimensional
high design
flooring

Attractive cabinet
pursuing design

1971

Door2015

MiSEL

Daiken Group's Value Creation

Ever since foundation, The Daiken Group has been developing awide variety of products to help customer's daily life through ourFlooring
technological innovations which always meet social issues andneeds. The Group effectively uses all the strengths acquiredin our history and aims to grow into a housing material
Cabinetmanufacturer that becomes an all-embracing company
for building materials and thus creates new value.

Developed special
plywood for vehicles
to which durability andwater resistance were
given by the technologicaldevelopment of adhesives

2008

WPC

Trends in Net Sales, Operating Profit,and Number of Domestic New Housing Starts
1,0001,000

Net sales

Operating profit

Number of domestic new housing starts

100 100

Data

86
500 500

50

50

00

Medium-Term
Management
PlanPlanMedium-Term
Management0

1st 1st0

1951
19611961
19711971
19811981
1945 1946
1951
1960
1945 1947
1946 1948
1947 1949
1948 1950
1949
1950 1952
1951 1953
1952 1954
1953 1955
1954 1956
1955 1957
1956 1958
1957 1959
1958 1959
1960 1962
1961 1963
1962 1964
1963 1965
1964 1966
1965 1967
1966 19681967 1969
1968 1970
1969
1970 1972
1971 1973
1972 1974
1973 1975
1974 1976
1975 1977
1976 1978
1977 1979
1978 1980
1979
1980 1982
1981 1983
1982 1984
1983 1985
1984 1986
1985 1986

Foundation

1941

C. Itoh & CO., Marubeni Shoten,Ltd., and Kishimoto Shoten,Ltd., have merged to form Sanko
Kabushiki Kaisha, Ltd.

Historyof theDaiken
Group

1944

Sanko Kabushiki Kaisha, Ltd.,
Kureha Cotton Spinning Co., Ltd.,and Daido Boeki Kaisha, Ltd.,
merged to form Daiken Co., Ltd.

1945

Founded Daiken Mokuzai Kogyo Co.,
Ltd., at the Inami plant in Toyama
acquiring all the business of the Forestry
Department at Daiken Co., Ltd.

13

DAIKEN GROUP REPORT 2022

Expansion

Growing

1954

1967

1977

1989

Established Nagoya plant for
manufacturing special plywood

Changed the company name to
DAIKEN CORPORATION

Expanded insulation boardbusiness
Built Takahagi plant●

1958
Built Okayama plant and started
manufacturing insulation board

1969

Established interior projects
department

1970
Started manufacturing WPC
flooring at the Nagoya plant●	Established Toyama plant for
manufacturing special plywood
●	

1984
Established an interior projects
company, DAIKEN ENGINEERINGCORPORATION

1987

Expanded flooring business
Established Mie Daiken Co., Ltd.
(currently, Mie plant)

Started manufacturing housing
products, such as doors andstairs, at the Inami plant● Started manufacturing of
cladding at the Takahagi plant

1994

Established DAIKEN SARAWAK
SDN. BHD. in Malaysia for MDF
manufacture

1995
Built interior doors production line
at the Inami plant

2nd 2nd3rd 3rd(Fiscal year)
1991
20112012
20162017
2021
20012002
1987 1988
1992
2019 20201987 1989
1988 1990
1989 1991
1990
1991 1993
1992 1994
1993 1995
1994 1996
1995 1997
1996 1998
1997 1999
1998 2000
1999 2001
2000
2001 2003
2002 2004
2003 2005
2004 2006
2005 2007
2006 20082007 20092008 20102009 20112010
2011 20132012 20142013 20152014 20162015
2016 20182017 20182019 2021
2020 2022
2021 2023
2022 2024
2023 2025
2024 2026
2025

New Challenge Challenge to achieve the Long-Term Vision GP25

Selection and Concentration

1996

Implemented Tatami facing andDAILITE production lines at theOkayama plant

1999

Purchased an interior projects
company, Koukou Sangyo
Corporation

2000
Integrated the interior projects
department into DAIKENENGINEERING CORPORATION

2002

Alliance with TOTO Ltd. and YKK AP Inc.
for remodeling business●	Established DAIKEN Industries (Ningbo)
Corporation●	2005
Purchased MDF manufacturer in Malaysia
Established DAIKEN MIRI SDN. BHD.

2009

Purchased MDF plant in New Zealand andestablished DAIKEN NEW ZEALAND LIMITED●	Integrated flooring business of the Nagoya
plant in the Mie plant●	20102018 lliance with Panasonic Corporation inAproduction and procurement● Purchased an interior projects company, Sankei
Corporation●

Business and capital alliance with HOKUSHIN
Co., Ltd., for MDF production and supply

●

●

2012
2015

Established interior doors manufacturing company
PT. DAIKEN DHARMA INDONESIA in Indonesia

2016

Purchased an apartment renovation company,
PAC SYSTEM Co., Ltd.

 urchased an MDF manufacturing company in New ZealandP
Established DAIKEN SOUTHLAND LIMITEDEstablished Daiken R&D center● Capital and business alliance with ITOCHU Corporation●2019
 urchased a veneer plant, CIPA Lumber Co., Ltd. in Canada andP
an LVL plant, PACIFIC WOODTECH CORPORATION in the U.S.A.
Purchased a renovation company ReformQ Co., Ltd.
● Purchased T.O FLOORING CO., LTD., that works on solidwood flooring●2020
Started production at Nichinan Daiken Co., Ltd., a company
that processes veneers for LVL

DAIKEN GROUP REPORT 2022

14